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On January 1 , year 1 , a machine is purchased at an invoice price of $ 4 0 , 0 0 0 . The

On January 1, year 1, a machine is purchased at an invoice price of $40,000. The full purchase price is to be paid at the end of year 5. Assuming 12% compound interest, what did the machine cost if compounding is (1) annually, (2) semiannually, and (3) quarterly?

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